Overview

• Air Canada began cancelling flights on Aug. 14 as part of an orderly wind-down after CUPE delivered a 72-hour strike notice and the airline issued a reciprocal lockout.
• Contract talks have stalled over wages and unpaid pre- and post-flight duties, with CUPE dismissing the airline’s offer of a 38 percent compensation increase over four years as inadequate.
• If no agreement is reached, mainline and Rouge operations could be fully grounded by early Aug. 16, disrupting about 130,000 passengers daily, while Jazz and PAL-operated Express flights will continue.
• The carrier has formally asked the federal government to impose binding arbitration under the Canada Labour Code, but Ottawa has urged both sides to stay at the bargaining table.
• Air Canada is guaranteeing full refunds, no-fee rebooking and coordination with partner airlines, though it cautions that recovering a full schedule after any stoppage may take up to a week.